(201) Magazine Blogs

Tuesday, February 12, 2013

“I manage two households (NJ and NY), and each uses gas and electric. I know we have choices, but am stalled because of the effort and uncertainty in comparing rates of competing companies. I assume each company has a rate schedule, such as “p cents per kilowatt hour for the first x kwh, q cents/kwh for the next y kwh”, etc.

“I’m assuming that certainly the costs p and q vary from one company to another, and maybe even the thresholds x and y vary. Is there an easy way to compare companies? It seems like it would be easy for a computer program to at least make estimates. That’s already done with appliance stickers showing average annual operating cost, and automobile mileage (estimated yearly cost of gas for each car). How about electric and gas costs?Dan Mosenkis

Actually, it’s not that difficult. Your utility bill includes a “price to compare” that allows customers to know what they are paying for electricity and natural gas from their local utility. The thing to remember is that the commodity—the kilowatts and therms—are what the third party suppliers are selling. Delivery and service will continue to come from your utility company.

About

KEVIN DeMARRAIS has provided Record readers with straightforward advice on pocketbook and consumer issues such as telemarketers, Internet scams, supermarket coupons, unresponsive business people, and dozens of other subjects for nearly 16 years. A three-time first-place finisher in state-wide business writing contests, he combines years of personal experience with advice from experts in business and government to provide readers tools to solve their own problems and to get the most for their time and money.